All the reasons why US stocks are defying gravity – Interview with Lior Cohen

FXStreet Team FXStreet

Coronavirus warnings, elevated valuations and an inverted yield curve have not deterred investors. What is behind the rally? Lior Cohen, Ph.D. Candidate in Economics at the University of Barcelona, and Yohay Elam, dive into over five reasons for the rally and why it can go even further.

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FXStreet Team

FXStreet

Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.

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USD/JPY hovers around 156.00 as more hawkish BoJ bets cap gains

USD/JPY holds steady above 156.00 on Monday as the US Dollar draws support from escalating US-Iran tensions and rising Fed rate-hike bets, bolstered by Friday's upbeat NFP report. Moreover, concerns over Japan’s fiscal outlook keep the Japanese Yen on the back foot and support the currency pair, though more hawkish BoJ expectations and a suspected intervention cap the upside.

Gold flat lines above $4,400 as Fed hike bets and Iran tensions support USD

Gold kicks off the new week on a subdued note, though it holds above $4,400. Friday's upbeat US NFP report lifted Fed rate hike bets, which, along with escalating US-Iran tensions, underpin the safe-haven US Dollar and cap the bullion. The lack of follow-through selling, however, warrants caution before confirming that the recent bounce from a nearly four-week low has run out of steam.

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